BUSINESS SEGMENT AND GEOGRAPHIC AREA INFORMATION

12 Months Ended

Dec. 31, 2013

BUSINESS SEGMENT AND GEOGRAPHIC AREA INFORMATION [Abstract]

BUSINESS SEGMENT AND GEOGRAPHIC AREA INFORMATION

BUSINESS SEGMENT AND GEOGRAPHIC AREA INFORMATION

We identify operating segments based on, among other things, differences in products sold and the way our management organizes the components of our business for purposes of allocating resources and assessing performance.  Our operations are comprised of six reportable segments: domestic wholesale sportswear, domestic wholesale jeanswear, domestic wholesale footwear and accessories, domestic retail, international wholesale and international retail.  Segment revenues are generated from the sale of apparel, footwear and accessories through wholesale channels and our own retail locations.  The wholesale segments include wholesale operations with third party department and other retail stores, the retail segments include operations by our own stores, concession locations and e-commerce web sites, and income and expenses related to trademarks, licenses and general corporate functions are reported under "licensing and other."  "Eliminations" represent intercompany transactions and reclassifications between segments which do not necessarily occur in every period.

We define segment income as operating income before net interest expense, goodwill impairment charges, gains or losses on sales of subsidiaries, equity in earnings of unconsolidated affiliates and income taxes.  Sales and transfers between segments generally are recorded at cost and treated as transfers of inventory, which are not reviewed when evaluating segment performance.  The wholesale segments allocate to the retail segments a portion of their SG&A costs related to the services utilized by those divisions where the retail operations benefit from those costs.

Summarized below are our revenues, income, depreciation and amortization, expenditures for long-lived assets and total assets by reportable segment for 2013, 2012 and 2011.  We are an integrated enterprise, characterized by substantial intersegment cooperation, cost allocations, and sharing of assets.  Therefore, we do not represent that these segments, if operated independently, would report the operating profit and other financial information shown below.

(In millions)	Domestic Wholesale Sportswear			Domestic Wholesale Jeanswear		Domestic Wholesale Footwear & Accessories		Domestic Retail			International Wholesale		International Retail		Licensing & Other			Eliminations			Cons-olidated
For the year ended December 31, 2013
Revenues	$	671.1		$	822.9	$	916.5	$	564.4		$	329.3	$	417.5	$	43.2		$	-		$	3,764.9
Segment (loss) income	$	(5.5	)	$	76.3	$	69.9	$	(62.0	)	$	34.8	$	3.8	$	(21.0	)	$	-		$	96.3
Net interest expense																						(60.3	)
Equity in income of unconsolidated affiliate																						0.6
Goodwill impairment																						(49.9	)
Loss before provision for income taxes																					$	(13.3	)
Depreciation and amortization	$	4.1		$	1.2	$	6.6	$	13.7		$	1.9	$	25.6	$	57.8		$	-		$	110.9
Expenditures for long-lived assets		7.8			3.4		9.8		17.5			0.7		13.8		19.5			-			72.5
For the year ended December 31, 2012
Revenues	$	782.0		$	746.7	$	919.7	$	584.6		$	330.0	$	388.9	$	46.2		$	-		$	3,798.1
Segment income (loss)	$	38.0		$	53.0	$	57.4	$	(51.7	)	$	33.8	$	5.5	$	(13.5	)	$	(0.2	)	$	122.3
Net interest expense																						(145.1	)
Equity in income of unconsolidated affiliate																						2.5
Goodwill impairment																						(47.6	)
Loss before benefit for income taxes																					$	(67.9	)
Depreciation and amortization	$	5.8		$	1.1	$	8.7	$	13.3		$	3.0	$	23.8	$	54.1		$	-		$	109.8
Expenditures for long-lived assets		10.3			4.0		12.6		20.5			0.9		27.3		25.1			-			100.7
For the year ended December 31, 2011
Revenues	$	892.3		$	773.7	$	848.0	$	631.2		$	329.5	$	260.4	$	50.2		$	-		$	3,785.3
Segment income (loss)	$	74.0		$	49.6	$	40.9	$	(37.9	)	$	35.5	$	6.9	$	(30.0	)	$	1.5		$	140.5
Net interest expense																						(73.3	)
Equity in income of unconsolidated affiliate																						3.9
Income before provision for income taxes																					$	71.1
Depreciation and amortization	$	9.0		$	1.2	$	10.4	$	17.2		$	4.3	$	12.9	$	49.8		$	-		$	104.8
Expenditures for long-lived assets		34.6			4.3		6.6		14.5			4.1		19.6		28.8			-			112.5
Total Assets (a)
December 31, 2013	$	920.3		$	692.8	$	1,096.2	$	257.7		$	238.2	$	402.2	$	1,902.7		$	(2,998.2	)	$	2,511.9
December 31, 2012		1,061.8			683.7		1,111.9		288.0			254.9		377.1		2,062.3			(3,244.2	)		2,595.5
December 31, 2011		1,034.7			638.6		1,001.0		254.6			238.7		396.4		1,747.0			(2,595.7	)	$	2,715.3

(a) – total assets for licensing and other includes investment in equity-method investees of $56.2 million, $38.9 million and $35.6 million for 2013, 2012 and 2011, respectively.

The total assets eliminations consist of the following:

December 31,	2013			2012			2011
(In millions)
Elimination of intersegment balances	$	(1,368.0	)	$	(1,450.9	)	$	(1,404.0	)
Reclassification of deferred tax assets		(137.5	)		(154.5	)		(134.9	)
Elimination of investments in subsidiaries		(1,492.7	)		(1,638.8	)		(1,056.8	)
	$	(2,998.2	)	$	(3,244.2	)	$	(2,595.7	)

Revenues from external customers and long-lived assets excluding deferred taxes related to operations in the United States and foreign countries and revenues by product category are as follows:

On or for the Year Ended December 31,	2013		2012		2011
(In millions)
Revenues from external customers:
United States	$	3,004.4	$	3,018.0	$	3,119.2
United Kingdom		356.1		343.7		216.1
Canada		132.9		146.1		152.2
Other foreign countries		271.5		290.3		297.8
	$	3,764.9	$	3,798.1	$	3,785.3
Long-lived assets:
United States	$	1,037.0	$	1,072.0	$	1,100.2
United Kingdom		279.4		290.4		335.4
Other foreign countries		93.8		136.4		124.2
	$	1,410.2	$	1,498.8	$	1,559.8
Revenues by product category:
Sportswear	$	916.6	$	1,036.5	$	1,158.9
Jeanswear		827.8		746.7		773.8
Footwear and accessories		1,977.5		1,968.8		1,802.5
Other		43.0		46.1		50.1
	$	3,764.9	$	3,798.1	$	3,785.3